February 2, 2022 7:47am

A very weak aftermarket, a foreshadowing of a storm of algorithms – wait, wait for the “rules” that weaken

Pre-open indications: 3 BUYs, 4 SELLs and 1 PUMP/PROMOTE

What I provide is an intelligence daily. RMi outlines a daily bell weather of “indications” about what you need to know; it’s what could happen or materialize after the opening and what might happen during the session.

Remember that overnight and pre-open actions in futures don't necessarily translate into actual trading in the coming day’s session.

Only the facts …

Dow futures are UP +0.11% (+38 points), S&P futures are UP +0.85% (+39 points) and NASDAQ futures are UP +1.73% (+259 points)

 

U.S. stock futures were higher and fluctuating in early premarket trading ahead of the release of private payroll data on Wednesday,

European markets moved higher as almost all sectors and major bourses nudged into positive territory,

Shares in Asia-Pacific rose in Tokyo and Sydney were higher while China, South Korea and Southeast Asian markets were closed for the Lunar New Year.

 

Economic Data Docket: private payroll data is set to release at 8:15 a.m. Economists are expecting 200,000 private jobs were added in January, down from December’s growth of 807,000 private payrolls, according to ADP.

 

Henry’omics:

The cell and gene therapy sector has strung together a few solid up sessions but, it does raise concerns of a depreciation as seen in January.

Volatility still lurks …

 

If you didn’t remember what happen at Tuesday’s close, you won’t be prepared for today’s session:

RegMed Investors’ (RMi) closing bell: “RegMed Investors’ (RMi) closing bell: are you making a return on investments (ROI) or waiting for the down slide” … https://www.regmedinvestors.com/articles/12281

Ebb and flow –

February stats: 1 positive close

January stats: 1 holiday, 1 neutral, 13 negative and 6 positive closes

 

Companies in my headlights – It’s your decision; I provide an idea and context:

Probabilities/ Potentials pre-open share pricing indication moves:

Maintaining SELL into Strength:

Alnylam Pharmaceuticals (ALNY) – NO indication

Applied Genetic Technologies (AGTC) – a Negative indication

BioLife Solutions (BLFS) – NO indication

Fate Therapeutics (FATE) closed down -$0.40 to $41.11 after Monday’s +$4.88 to $41.51, Friday’s +$0.85, Thursday’s -$3.49 and last Wednesday’s -$0.60 with a negative -$2.58 or -6.28% preopen indication.

 

BUY:

CRISPR Therapeutics (CRSP) closed up +$1.78 to $65.53 after Monday’s +$4.75 to $63.75, Friday’s +$0.24 to $59.00, Thursday’s -$3.08 to $58.76 and last Wednesday’s $61.84 with a positive +$1.50 or +2.24% pre-open indication.

Editas Medicine (EDIT) closed up +$0.65 to $19.69 after Monday’s +$1.61 to $19.04, Friday’s +$0.01 to $17.43, Thursday’s $17.41 and last Wednesday’s $17.81 with a positive +$0.30 or +1.52% pre-open indication.

Intellia Therapeutics (NTLA) closed up +$5.23 to $99.80 after Monday’s +$8.55 to $94.57, Friday’s +$3.62 to $86.02, Thursday’s -$2.82 to $82.40 and last Wednesday’s $85.22 with a positive +1.20 or +1.20% pre-open indication.

 

Pump and Promote:

Biostage (OTCQB: BSTG) closed up +$0.40 with 1,088 shares traded after Monday’s flat with 11 shares traded, Friday’s +$0.05 to $3.90 with 3,362 shares traded, Thursday’s +$0.24 to $3.85 with 10,073 shares traded and last Wednesday’s -$0.00 with 7,796 shares traded.

  • WHO is BUYING these shares of a company with a 2-year-old IND and NO clinical trial initiation?
  • Just another example of a game of “fake it because they can’t make it?
  • Overhang of non-registered PPM shares is also a factor before ANY offering to be proposed?
  • Last week’s news re terminal death suit: The Court granted BSTG's motion for a preliminary injunction and held that Medmarc breached its duty to defend the Company when it unilaterally stopped paying for the defense. Medmarc must continue to pay the defense until the coverage dispute is resolved.”
  • It’s NOT over, the terminal death law suit still HANGS over the company.

 

The BOTTOM LINE: The cell and gene therapy sector rallied into Tuesday's afternoon session and picked up steam in the final hour, closing at a session high.  

Reiterating, “Investors should remain cautious, but also prepare for new selling opportunities” after a dramatic and volatile Friday, Monday and Tuesday.

I believe the “hits” will be forthcoming…

As I stated/wrote last evening, “I learned very early (military), if you weren’t 5 minutes early for a meeting, you were 10 minutes late – be early in portfolio deliberations.”

MY real question is which stock’s share pricing rise is sustainable?

Pay attention to volatility, most times the effect of dramatic upside moves after multiple downsides weekly “plays” could end-up being sold into strength – in my view.

Earnings’ reporting:

  • Alnylam Pharmaceuticals (ALNY) – 2/10, Thursday
  • AxoGen AXGN) – 2/22, Tuesday

Investors should focus on forward-looking guidance, last year’s operating losses i.e., spending and cash positions or runways!

I am NOT changing my position, “Brace for more choppiness as we move further into the month and the beginning of Q1/22 waiting for Q4 and end-of-year numbers”.

  • I say today what others won't, so you can do what others can't whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors

So, my bottom of the Bottom Line, Investors should be extremely cautious about adding any new exposure.

  • RMi’s daily report is a primer that may say little or a lot; yet it serves as insurance that all indications are being examined and evaluated.

WHY do I keep reporting on Biostage (BSTG): I WAS there to experience what occurred and saw the decay of transparency and more; it takes courage, resolve and patience to stay the course of asking the questions without response!

 

Opinions expressed are those of the author and are subject to change, and not intended to be a forecast of future events, a guarantee of future results, nor investment advice. Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.  All investments are subject to risks. Investors should consider their investment objectives.

Regulation Analyst Certification (Reg AC): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in FATE, CRS, securities referred to in this publication.